Govt approves 2 rail projects, funding for space firms
The Union Cabinet, led by PM Narendra Modi, approved two railway projects and a fund for space startups on Thursday. The railway projects span eight districts in Andhra Pradesh, Telangana, and Bihar. One project includes a new railway line linking Amaravati, Andhra Pradesh’s proposed capital, with an investment of ₹2,245 crore. The line, expected to be completed in five years, will connect 168 villages and serve 1.2 million people through nine new stations.
In Bihar, the Cabinet greenlit the multi-tracking of the Narkatiaganj-Raxaul-Sitamarhi-Darbhanga and Sitamarhi-Muzaffarpur sections, spanning 256 km. This upgrade will enhance connectivity with Nepal, the northeastern states, and border areas. The project, covering 388 villages and a population of nine lakh, aims to boost infrastructure and ease congestion in these regions.
Additionally, the new railway line between Errupalem and Namburu via Amaravati will cover 57 km, connecting the new capital with major cities like Vijayawada and Guntur in Andhra Pradesh and Khammam in Telangana. This line will reduce congestion in one of the busiest sections of Indian Railways.
Both projects will generate around 1 million human-days of direct employment, improving the livelihoods of many in these regions.
On the same day, the Cabinet also approved a ₹1,000 crore venture-capital fund to support space-sector startups. The fund, first announced by Finance Minister Nirmala Sitharaman in the 2024-25 Union Budget, will be distributed over five years. In FY26, the government plans to disburse ₹150 crore, followed by ₹250 crore annually for the next three years, with the remaining ₹100 crore in the final year.
This initiative aims to foster growth in India’s private space sector by supporting around 40 enterprises. The fund, managed by the Indian National Space Promotion and Authorisation Centre (IN-SPACe), will help startups scale, invest in research and development, and expand their workforce. It is expected to bolster the space supply chain and boost employment across the sector, furthering India’s advancements in space technology.
